Last Updated on June 15, 2023 by Tree of Wealth

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FWD Invest First Plus is an investment-linked insurance policy that offers policyholders death coverage and the potential to grow their money over time. This ILP is known for its transparency, stability, and user-friendliness, making it an attractive option for those seeking financial security in Singapore.

With FWD Invest First Plus, policyholders can invest their money and benefit from its generous bonuses throughout their policy term. In this article, we offer a comprehensive review to assist you in determining whether this ILP is suitable for you.

Simplifying Investing for All

Investing may appear overwhelming, but FWD Invest First Plus aims to provide a straightforward and inclusive experience for everyone. Boasting five essential features, investing with confidence and convenience has never been easier.

Features At a Glance

Accelerate Your Investments and Reap Rewards Early with Bonus Units

Unlock the full potential of your investments and enjoy early growth with bonus units. FWD offers Booster Bonus of up to 34% p.a. on your initial 5 years of regular premium contributions to kickstart your investment.

And that’s not all, FWD also rewards you for staying invested with annual Loyalty Bonuses of up to 0.7% p.a., 1.0% p.a. and 1.2% p.a. of the accumulation units account from the 6th, 11th, and 21st policy year respectively in the form of additional units. Don’t miss out on these incentives to maximize your investment potential.

Enjoy Optimal Value with Fixed Total Charges in FWD Invest First Plus

FWD Invest First Plus offers a unique approach to charges with their fixed total charge system. Unlike traditional methods where charges increase as the investment grows, this approach places a limit on yearly charges to prevent the worry of charges eating into their returns as their policy value appreciates.

This ensures policyholders can enjoy the benefits of their investments without worrying about paying more.

This way, you can be sure that your hard-earned money goes even further, and you get the most out of your investment.

FWD has designed the Invest First Plus plan to provide investors with greater flexibility and confidence. The plan empowers investors to adjust their investments to fit their changing needs, allowing them to invest with ease and peace of mind. FWD believes that investments should be accessible and not hold investors back, and Invest First Plus is a testament to that philosophy.

Maintain control of your finances with high flexibility and curated funds that include a dividend cash-out option

Benefit from Dividend Cash Out Option

FWD Invest First Plus policyholders can enjoy the option of cashing out or reinvesting the dividends earned through their investments. This provides flexibility for policyholders who may need to supplement their income with dividend payouts. What’s even better is that there are no fees charged for such withdrawals.

Flexibility to Pause Premium Payments and Repay Later

At times, financial difficulties may arise, and to provide flexibility, FWD Invest First Plus offers the option to pause premium payments from the 25th month onwards. By repaying any missed regular premiums, policyholders can continue to receive Booster Bonus and Loyalty Bonus for those missed premiums.

Fund Access and Unlimited Fund Switches

Policyholders can access their funds penalty-free with FWD Invest First Plus, starting from the 25th month of the policy. This provides the flexibility to withdraw money for unexpected expenses as needed.

Additionally, the plan offers unlimited free fund switches, enabling investors to adjust their investment portfolio without incurring any charges. This means policyholders can easily switch to better-performing funds, align with their changing risk appetite, or adapt to evolving market conditions, all without hesitation.

Premium Holidays

Unlimited Premium Holidays is not an official feature, but it is an option available to FWD Invest First Plus policyholders after their first 5 years of investment. They can choose to take a break from making premium payments as long as there are sufficient funds in their account to cover the fees. It is important to regularly monitor the account balance, as the policy will lapse if there are not enough funds to pay the fees. This provides investors with added flexibility in case of financial difficulties, allowing them to resume investing when they are able to.

Choose the currency you prefer

In the 6th policy year, have the option to change your policy currency to either SGD or USD, depending on your preference.

Adjust Regular Premiums

From the 24th month onwards, policyholders have the option to reduce their regular investments, provided the new amount meets the minimum investment requirement and minimum reduction requirements set by FWD, which are subject to change.

Similarly, if a policyholder has previously reduced their regular investments, they may increase it back up to their initial investment amount.

However, any investment amount exceeding the initial regular premium will be considered as a premium top-up.

Grow Your Policy with Top-up Premiums

You can increase the value of your policy by making a single premium top-up at any time. If you missed any regular premiums, you will need to fully repay them before making a top-up.

The top-up premiums are limited to two times the annualised committed regular premiums throughout the policy term, unless certain conditions are met.

The top-up limit will not apply if you intend to use the feature to replace a prior withdrawal from the policy or to pay back the difference between the premium committed at policy inception and the reduced premium. Please note that a premium charge will be added to all top-up premiums.

Note: The Top-Up amount will be capped at a grand total of $24, 000 over the course of the whole Policy Term.

Customised investment options for Singaporeans with curated global funds managed by renowned fund managers

FWD offers access to high-quality investment funds that are well-diversified and can capitalize on changing market conditions. With over 50 funds to choose from, FWD Invest First Plus provides policyholders with customized options tailored to the specific needs of Singaporeans.

Choose an investment strategy that aligns with your financial goals and risk tolerance. Invest in the best with FWD’s carefully curated funds from globally established fund managers.

FWD Invest First Plus offers well-diversified funds that can adapt to changing market conditions, giving you confidence in your investments. FWD recognizes that investment funds vary in quality, and is committed to providing access to the best options. Choose FWD’s curated funds to elevate your investments.

Get a Free Auto-Rebalancing Service for Your Investment Portfolio

FWD Invest First Plus offers an auto-rebalancing service for those who don’t have the time or resources to actively manage their investment portfolio but still want to achieve their financial goals. With a disciplined approach to investing, this service ensures that your portfolio’s risk aligns with your risk tolerance, regardless of market conditions.

Whether you prefer a hands-on or hands-off approach, FWD Invest First Plus has you covered.

Say goodbye to the stress of monitoring and adjusting your investments and hello to the peace of mind that comes with FWD’s auto-rebalancing service.

Let technology work for you.

Secure Your Family’s Future: Death Coverage

FWD Invest First Plus not only offers investment opportunities but also provides death coverage for policyholders.

In the unfortunate event of the policyholder’s passing, their beneficiaries will receive a lump sum payout that can help cover funeral costs, outstanding debts, and other expenses.

This provides peace of mind for both the policyholder and their loved ones, knowing they are protected in case of the unexpected. The policy’s death benefit pays 105% of the policy value upon the passing of the last person insured in the policy.

 Multiple Lives Covered

FWD Invest First Plus allows you to secure not only your financial future but also that of your loved ones. With coverage for up to one policyholder and two insured individuals, you can have peace of mind knowing that your family is protected. The eligibility criteria are straightforward and open to individuals of different ages.

Enjoy peace of mind with FWD Invest First Plus, which covers up to one policyholder and two insured individuals. This offers flexibility and ensures policy continuity until the last insured individual passes away. Eligibility is easy and available for individuals of various age groups.

Minimum & Maximum Entry Age

Age Last Birthday	Person Insured	Policy Owner
Minimum age at entry	30 days old	18 years old
Maximum age at entry	45-60 years old (depending on premium payment terms)	70 years old

Hassle-free Way to Manage Investments

With a user-friendly online platform, you can access your account anytime, anywhere. Whether you want to view your investment portfolio, make adjustments to your fund choices, or track your policy performance, everything is just a few clicks away. FWD Invest First Plus makes it easy and convenient for you to stay on track and reach your financial goals.

How FWD Invest First Plus Works

Source: FWD

Fees & Charges

Initial account charge

The initial account charge is a fee that is payable throughout the premium payment term of the policy, and it is deducted on each policy monthiversary. The amount of this charge in policy year N is calculated using the formula:

A% (based on selected premium payment term / 12) x Annualised committed regular premium x N

Premium payment term (years)	A%
15 – 19	1.8% p.a.
20 – 24	1.4% p.a.
25 – 29	1.2% p.a.
30	1.0% p.a.

where N refers to the policy year. The initial account charge increases over time, but the total amount charged is fixed throughout the premium payment term. This charge is still applicable even if regular premiums are not paid during the premium payment term. Additionally, changes made to the policy, such as a reduction in regular premium, non-payment of regular premium, or withdrawal, will not affect the total amount charged.

Policy charge

A policy charge is applied from the 25th month of the policy term until the end of the policy term. It will be deducted on the anniversary of each policy month. The policy charge for policy year N is calculated using the formula:

(1.2% p.a. / 12) x Annualised committed regular premium x N

where N refers to the policy year during the premium payment term and thereafter to the selected premium payment term. The policy charge will increase over time, but the amount deductible each policy year will remain constant after the premium payment term, as indicated in the formula. The total amount of this charge is fixed for the entire policy term. The policy charge remains applicable even if regular premiums are not paid during the premium payment term. Any changes to the policy, such as a reduction in regular premium, non-payment of regular premium, or withdrawal, will not alter the total amount charged.

Premium charge For Top-Up Premiums

For each top-up premium, a premium charge of 5% is levied.

Policy closure charge

If the policy value falls below S$1 (or equivalent in the policy currency) at any point in time, a policy closure charge of S$1 (or equivalent in the policy currency) is applied to end the policy.

Surrender charge

If the policy is surrendered before the end of the premium payment term, a surrender charge is levied. The surrender charge is calculated by multiplying the initial units account value by the surrender charge depending on the policy year at the point of surrender. The surrender charge is deducted from the policy value before the payout.

There is no partial or regular withdrawal charge.

There is no charge for changing your policy currency.

There are no charges for fund switching.

Fund management fee

The fund management fee depends on the selected fund. This fee is already included in the unit price and is not an additional charge to the policy. You can find more information on the fund management fee in the fund documents available on our website.

FWD Invest First Plus stands out for its transparency and stability in terms of total charges, which is one of its major advantages. Unlike other investment-linked policies that may have unforeseeable charges, FWD Invest First Plus has a fixed total charge that is explicitly outlined in the policy documentation. This provides policyholders with a clear understanding of the costs associated with their investment and enables them to manage it effectively.

FWD Invest First Plus offers an innovative and transparent Investment-Linked Plan that combines death coverage with investment growth, making it an excellent option for Singaporeans. With fixed total charges, a range of investment options tailored to local needs, and easy online management, this policy is a smart choice for securing financial futures. For those considering investment-linked policies in Singapore, a closer look at FWD Invest First Plus is highly recommended.

The ILP plan stands out as a compelling long-term investment choice, as it offers the flexibility of selecting an investment term between 15 to 30 years, unlike other ILPs. Therefore, you can confidently choose the exact period that suits your financial objectives, such as withdrawing your investments precisely 27 years later.

The FWD Invest First Plus has a minimum investment period of 15 years, but it offers unlimited premium holidays after the first five years, as long as there are enough funds to cover fees. Additionally, it allows for cashing out of investments and provides free withdrawals, a rare feature in investment-linked policies. The plan charges fees based on annualized premiums, not account value, which is beneficial for those with growing accounts. This fee structure has resulted in a higher ROI compared to other ILPs under the same conditions. However, if investments are dropping, fees may increase since they are tied to premiums.

In addition, FWD Invest First Plus offers more than 50 diversified funds, providing investors with access to tactical opportunities that arise from market fluctuations.

Investing in the right plan can make all the difference in securing your financial future. While there are many investment plans available in the market, finding the perfect one for your unique needs and goals can be challenging.

That’s where our MAS-certified advisors come in. Our advisors can help you navigate the options and find the ideal plan that fits your financial goals.

Don’t wait any longer to invest in your future. Contact us today to learn more!

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